(b) Monkey Ltd decides to hedge. The company enters into the forward agreement with the bank in which Monkey Ltd will buy S$1,000,000 from the bank and pay the bank an agreed amount of NZ dollars at settlement (i.e., two months after the purchase) at the agreed forward rate of 0.87. The relevant spot rates and forward rates from the date of purchase to the settlement are shown in the table below. At the date of the purchase One month after the purchase Two months after the purchase (i.e., at settlement) Spot 0.88 0.92 0.94 Rates Forward 0.87 0.91 0.94 Show the journal entry to record the inventory purchase, forward contract and any additional journal entries that are required through to (and including) settlement. Calculate the overall gain or loss from both the accounts payable and forward contract. Provide an overall position check for the net cash payout. (7 marks)